New Local Law Helps Albany County Legislature, County Executive, Albany Convention Center Authority Partnership, Potentially Huge Economic Impact

A new local law introduced last night by the Albany County Legislature is the first step in framing a new partnership between the Legislature, County Executive, and the Albany Convention Center Authority (ACCA), which owns the Albany Capital Center, to support the Center's proposed expansion. The economic ripple effects of the new partnership could reverberate throughout downtown Albany and the rest of the county for the next 30 years.

Local Law D, which will officially and legally establish the county's support of the ACCA, helps forge the partnership and starts the process of making future financial support from the county to the ACCA available if needed.

It is also the latest step in the proposed plan to entice more and bigger conventions to Albany.

If the project moves forward, and after a bonding process, CIDC Albany LLC. - part of the not-for-profit Community Initiatives Development Corp. - will work with the ACCA on the redevelopment effort and then lease the new facility to the ACCA. Local Hotel Occupancy Tax (HOT) receipts and the projected increases in operational revenue will cover costs and lease payments for the expansion. Once the lease is paid, the ACCA will own the expansion.

The County will not be responsible for, or take a role in, the lease of the bonds. However, with this new law, an additional upcoming resolution, and a future funding agreement, if the ACCA isn't able to make a lease payment, then the County will cover the cost and be reimbursed through the ACCA's portion of local HOT taxes that the County administers.

In exchange, the ACCA plans to pay the County a variety of fees, including an additional administrative fee tied to the growth of HOT taxes. That funding can then be used for additional economic development initiatives and reinvested into the community to bring more business, residents, and visitors to Albany County.

The new law will likely be in place by mid-July.

Albany County Legislature Chairwoman Joanne Cunningham said: "This is an enormous victory for everyone. The Legislature, the Executive, the Capital Center, and, most importantly, Albany County taxpayers-all of us win with this. Based on current data and our projections of future growth, this could bring an additional $400,000-$500,000 into County coffers annually for decades. Plus, the positive economic shockwave that a bigger and more successful Capital Center will create is tremendous. There are more legislative steps to take, but today, we are taking the first toward creating this new partnership and new economic reality in downtown Albany."

Albany County Legislature Deputy Chairwoman Wanda Willingham said: "We will always take advantage of economic opportunities like this one that have such low risk, but could have an especially huge positive impact for all Albany County residents. If, in the highly unlikely event, the Center can't make a payment and the County does have to pay, we are made whole right away. It's a win for them to get started, a win for the county to bring in additional revenue. Plus, with the Capital Center's location, I am particularly excited to see that this will help revitalize the South End in particular which has historically been underserved and overlooked."

Albany County Legislator and Chair of the Economic Development Committee Gary Domalewicz said: "This is a really creative solution that not only gets the Capital Center's project rolling, but it also directly takes the thorn that is HOT tax restructuring out of the Legislature's side. For years, we have been trying to ensure that the county gets a larger slice of the HOT tax pie and this does that directly. I know we have had differences with the Capital Center in the past, and it has even been contentious at times, but we are forming a new bond here that will revitalize and reinvigorate downtown Albany."

Albany County Legislature Democratic Majority Leader Dennis Feeney said: "This law makes sure Albany County shares in the economic upside of a major investment without putting taxpayers at risk. We're creating a safety net that protects the County while unlocking new opportunities for jobs, businesses, and energy across the Capital Region."

Albany County Executive Daniel P. McCoy said: "I am proud to support transformative projects in Albany, because the success of our capital city means the success of the entire county. From the future demolition of the Central Warehouse and the acquisition of Saint Rose Campus, to the purchase of properties adjacent to the MVP Arena, Albany County is playing a lead role in economic development. This local law demonstrates our continued commitment to revitalizing these neighborhoods, while balancing the need to uphold fiscal responsibility and protect county taxpayers."

Albany Convention Center Authority Executive Director/CEO Monica Kurzejeski said: "This marks the beginning of an exciting new chapter for the Albany Capital Center. The support and collaboration from the County Legislature and County Executive give us the momentum to grow into a facility that can meet rising demand and attract larger-scale conventions. This is more than just an expansion; it's part of a much bigger movement to forge a unified economic development vision that positions Albany County at the forefront of what's happening nationally. We're tapping into an international shift in how mid-sized cities invest in tourism, events, and downtown revitalization. The timing is perfect, aligning with Governor Hochul's significant commitment to invest in Albany, and we're proud to help lead that charge."

Albany Convention Center Authority Board Chair Michele Vennard said: "We are deeply appreciative of the county's commitment to this partnership. The facility we've created is smart and responsible and positions the Albany Capital Center for sustainable success. As Chair, I'm proud of the trust between all parties. I believe this collaborative approach will serve as a model for how organizations and the government can work together to deliver real, measurable value to the community."